Piyush Goyal Critiques Tamil Nadu Government Over Rising Debt and Financial Mismanagement
Union Minister Piyush Goyal has sharply criticized the Tamil Nadu government, led by Chief Minister M.K. Stalin, over the state's increasing debt and alleged financial mismanagement. During a press conference, Goyal questioned the whereabouts of the state's resources, despite its rich industrial and agricultural sectors. He highlighted the alarming rise in debt under the DMK's rule and challenged the government to explain its financial practices. Goyal also defended the GST, stating that it has significantly boosted the state's revenue, contrary to the DMK's claims. This critique raises important questions about the financial health of Tamil Nadu and the government's accountability.
| Apr 4, 2026, 18:21 IST
Central Minister Questions State's Financial Management
On Saturday, Piyush Goyal, the Union Minister of Commerce and Industry, launched a strong critique against the DMK government, questioning Chief Minister M.K. Stalin about the state's escalating debt and alleged financial mismanagement. Alongside Nainar Nagendran, the Tamil Nadu BJP president and candidate from the Sattur constituency, he released a white paper titled 'Financial Crisis of the Tamil Nadu Government.'
Addressing journalists, Goyal directly challenged the Chief Minister, asking where the state's resources have gone despite Tamil Nadu being rich in industries, farmers, small and medium enterprises, fishermen, and youth. He stated, 'My question to Chief Minister M.K. Stalin is, where has the money of Tamil Nadu gone? The state is abundant with resources that generate wealth, so why is the treasury empty? The debt taken by the Tamil Nadu government is at a historically high level, and the Chief Minister has no answers. They are diverting attention with false statements instead of addressing the core issues.'
Goyal further emphasized that under the DMK's governance, Tamil Nadu is heading towards bankruptcy, with the debt nearly doubling in the last five years. He pointed out that public sector enterprises in Tamil Nadu are burdened with over ₹2 lakh crore in debt, and the state now has to pay ₹76,000 crore just in interest, leaving nothing for the future development and prosperity of its people. He criticized the Chief Minister for ignoring this critical situation, claiming they want to distract the public with misleading statements instead of revealing where the money has gone.
In response to the DMK government's criticism of GST, Goyal countered that the central government has provided Tamil Nadu with over ₹80,000 crore as GST compensation. He noted that the state's sales tax collection was 7% before GST implementation, which has since doubled. He remarked that while the Tamil Nadu government frequently criticizes GST, they fail to inform the public that their revenue has significantly increased due to it. He questioned, 'Where has that money gone? How have you utilized those funds?'